AGM Statement

Adventis Group PLC 25 May 2005 Adventis Group plc AGM Statement 25 May 2005 At today's Annual General Meeting of Adventis Group plc ('the Group'), Peter Mitchell, Chairman of the Group, made the following statement: 'In the financial year ending 31 December 2004 Adventis achieved excellent results, both in its core business and in setting the foundations for a programme of strategic growth through the formation of a joint venture and a major acquisition. On July 1st 2004 Adventis was admitted to AIM and raised a net figure of £2.6 million for the Group to finance an acquisition programme to expand from predominantly property marketing services into the Financial Services and Healthcare sectors. In August 2004 the Group announced the formation of Adventis NMG Limited as a joint venture with NMG Financial Services Consulting Limited. This new venture is an advertising agency specifically designed to service the Financial Services sector. Subsequently the acquisition of Affiniti (UK) Ltd, a specialised healthcare advertising agency, was completed at the end of the 2004 financial year. It builds on the foothold the group has already in this profitable market and is likely to act as a vehicle for all future healthcare activity. On 10 March 2005, the Group announced its maiden preliminary results, which were ahead of expectations. The core business of the Group was underpinned by major client wins throughout 2004. Profit before tax increased by 83% to £0.77 million on turnover which rose by 32% to £12.09m and the Group had in excess of £3m on deposit. Earnings per share were up 32% at 2.20 pence per share and the Company announced a total dividend for the year of 0.85 pence per share. The management team evolved during 2004 to meet the new challenges and I joined the board as Chairman in April 2004. Each business stream is managed by an experienced manager who reports directly to the Chief Executive and the Board. We attach great importance to continuity of leadership and are pleased with our record of senior staff retention leading to consistent business growth. As the business expands the Board ensures that new business streams are fully integrated into the Group and that, in particular, the financial systems of the Group are adopted. It is very encouraging to see that cross fertilization between the new and existing companies goes beyond this and that a recent important business win by our Healthcare sector agency involved a major contribution from the core Adventis creative team. The Group is actively assessing further acquisition opportunities that meet the stated strategy of building a specialised marketing services group. We are particularly pleased to note that our new media planning and buying company, Adgenda Media Ltd, formed on 30 March 2005, has signed in excess of £5m of indicative new business for the current financial year from clients such as Fairview Homes, Barratt Homes, Durkan Homes, Fairbriar plc and Harrods Estates and has been profitable from the beginning of trading. The Board continues to be very demanding of any possible acquisition and a stringent set of management and financial criteria must be met if any prospect is to be seriously considered. With regard to current trading our main business sectors - Property, Healthcare and Financial Services - are all influenced by the presently uncertain economic environment yet the Group has had significant business wins with clients such as Roche, Barclays Bank, Prudential, Invesco, St James Homes, Grosvenor House Apartments and Rio Laranga, Algarve. Trading for the current financial period is broadly in line with expectations, given the current economic environment and we continue to identify a number of promising new business prospects and acquisition opportunities which we shall pursue. I would like to take this opportunity to thank the directors and staff who have all contributed to an excellent performance in our first year as a quoted company and our shareholders and clients for their continued support and belief in our business. Details of the further progress made in the current financial year will be provided in the Group's interim results statement, due to be announced in September 2005.' Enquiries: Charles Phillpot, Managing Director Sarah Gestetner, Justin Griffiths Adventis Group plc Citigate Dewe Rogerson Tel: 020 7034 4750 Tel: 020 7638 9571 Philip Haydn-Slater WH Ireland Limited Tel: 020 7397 300 This information is provided by RNS The company news service from the London Stock Exchange
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